EXPLORING ORGANISATIONS

Exploring Organisations

Exploring organization

Introduction

The purpose of this assignment is to provide the students with the opportunity to analyze and evaluate the management of an organization and provide with recommendations and suggestions to improve on the areas where the company is lacking behind. (Avolio, 2007, 25-33)Therefore in this case we are going to discuss a case study based which is on a fictions company Rent-U-Like plc. The company is basically operating in the car rental business in UK and recently has encountered different problems in its operations such as it has been criticized for dumping service oil in the nearby river and fined as well. Furthermore the situation became worse after the intervention of the competitor which resulted in the declined sales. Therefore as an external consultant, the company has asked to come up with the solutions to the problem by referring to different theories and models of management.

Discussion

External point of view

Rent-U-Like plc is amongst one of the biggest company operating in UK. With its operations in the UK the company has around 20 local showrooms and employs around 200 personnel's in the head office alone. It's also listed in the Financial Times Stock Exchange (FTSE). (Avolio, 2007, 25-33)The owner ship of the company is divided as per the ratio which is 51% of the shares are held by the managing director ad rest 49% shares are held by individual private share holders. The basic issue faced by the company is provoked by the autocratic style of management. The turnover of the company is around £200m annually, and the profitability was reported at 5%.

The basic work of the organization is to provide vehicles on rent within the rules and regulations of the land. Recently, Rent-u-like was fined for being involved in the illegal dumping of the service oil in the local river. (Bedman , 2004, 155-169)The case was fought by the representative organization of the company 'car rental federation'. Because of this issue one of the directors of the company has already resigned and company is facing problems in managing its operations. The resignation of the director has resulted in the deterioration of the communication management throughout the organization and there have been many speculations which have resulted in this controversy.

Internal point of view

Overall the company is following the rules and regulations by complying with the European guidelines by and employees are supposed to work for around 6 days and 48 hours in a week. (Carsen , 2002, 13-45)As discussed the autocratic management style is being used in the company which is not feasible and it restricts participation of the employees in the strategic functions of the company. Currently all the decisions are being made by the managing director by himself.

These directions then flow downward to the organization through managers at functional level such as sales director to sale manager and so on. Furthermore there is no concept of the unionism in the organization which is the prime reason for underrepresentation of the ...